Finding Text
2023-004: Evaluating Potential Contractor for Debarment and Suspension
Assistance Listing Number, Federal Agency, and Program Name: Assistance Listing Number 93.696, Certified Community Behavioral Health Clinic Expansion Grant
Federal Award Identification Number and Year: 1H79SM086680-01, Program Grant Period 09/29/2022-09/29/2023
Pass-through Entity: N/A
Type: Material weakness in internal control and material noncompliance with laws and regulations
Repeat Finding: No
Criteria: A nonfederal entity must have adequate procedures in place to verify that an entity with which it plans to enter into a covered transaction is not debarred, suspended, or otherwise excluded (2 CFR sections 200.212 and 200.318(h); 2 CRF section 180.300; 48 CFR section 52.209-6).
Condition: During procurement testing of the Certified Community Behavior Health Clinic Expansion Grant, we noted that the Authority did not have documentation that sam.gov was reviewed to ensure the consultant utilized was not suspended or debarred for two of the three contracts expended. The Authority checked suspension and debarment on the individual clinicians, however, did not check it for the company.
Identification of How Likely Questioned Costs Were Computed: N/A
Known Questioned Costs: None. Subsequently, the sam.gov was reviewed to ensure that the contractors were not suspended or debarred.
Context: The consultant utilized for the Certified Community Behavior Health Clinic Expansion Grant project were not evaluated prior to the award of the contract.
Cause/Effect: The Authority did not have controls in place to ensure timely compliance with the suspension and debarment evaluation requirements prior to the awarding of contracts for the Certified Community Behavioral Health Clinic Expansion Grant or other federal funds.
Recommendation: We recommend the Authority implement adequate controls to ensure verification of debarment, suspension, or exclusion takes place before entering covered transactions.
View of Responsible Officials and Planned Corrective Action Plan: See attached corrective action plan.